First
corporate to invest HK$10 Million in Research, Development and Production of Patented
Antibacterial and Antiviral NanoDiamonds Technology Masks

Sets Up Two Production
Lines to Produce 200,000 Surgical Masks a Day for the Public

SINGAPORE - Media OutReach
- 2 March 2020 - To help fight the COVID-19 epidemic and solve the
shortage of preventative gear such as surgical masks, Adrian Cheng, CEO of New
World Development ("NWD" or "the Group") on Friday announced that the Group
will set up local mask production lines through its charity foundation to
produce 200,000 masks a day in Hong Kong SAR. Production is expected to start
in April 2020, and the masks will be given for free to the public as part of
NWD's efforts to combat the coronavirus. In addition, NWD will invest HK$10
million and work in partnership with Master Dynamic Limited (MD), a leading
Hong Kong material analysis and nanotechnology company, to research and develop
the application of NanoDiamonds technology to enhance the protective function of
mask materials, with the aim to further develop a specialised coating that will
kill bacteria and viruses. The new technology has the potential to create a new
generation of affordable and highly effective surgical masks.

Caption I: New World Development CEO Adrian Cheng (right)
listened to Dr. Tom Kong, CEO of Master Dynamic about the characteristics of NanoDiamonds
technology. The company's goal is to transfer the antibacterial coating technology
applied to jewellery to the non-woven material of surgical masks, thereby
blocking and inhibiting bacteria and viruses.

Caption II: New World Development CEO Adrian Cheng (right) met
with leading nanotechnology company Master Dynamic to learn how to apply the patented
NanoDiamonds technology to the production of low-cost, antibacterial masks.
Picture shows Dr. Tom Kong, CEO of Master Dynamic showing Adrian Cheng a sample
of NanoDiamonds.

With global shortages of surgical masks during the COVID-19 outbreak,
there is an urgent need to produce high-quality yet affordable masks locally to
meet rising demands from society, especially from low-income families. This initiative
is underpinned by the Group's Creating Shared Value (CSV) principles and aims
to contribute concrete and innovative solutions to social issues at a critical
time. The initiative is moreover aligned with the Group's goal to provide an
ecosystem of services and infrastructure to ensure the well-being of the local
community, which includes healthcare businesses such as Gleneagles Hospital,
FTLife Insurance and its health tech wellness centre - Humansa.

Mr. Adrian Cheng says, "The recent COVID-19
made me realise how challenging it has been for the local community to source
masks locally. Right after I announced to donate HK$10 million in protective
gear to local communities, our team reached out to suppliers worldwide in
search of high-quality masks. The fluctuation in prices and unreliability of
supply prompted me to make the decision to start a local production line right
here in Hong Kong. We have no shortage of scientific research capabilities, talent
and resources in this city, and we are absolutely equipped to produce high-quality masks locally to
tackle immediate and long-term needs. Driven by our vision for "creating shared
value" and doing so through the power of technology, innovation and cooperation,
I believe we can work together to win the battle against the COVID-19 epidemic
and bring long-term positive change to society."

Headquartered at Hong Kong Science and Technology Park (HKSTP)
with a 6,000 square feet Nanotechnology Applications Centre (NTAC), MD has a
team of more than 100 engineers, software developers and researchers.

Collaborating with Chow Tai Fook (CTF) Jewellery Group, MD has
previously successfully developed T MARK, which features a protruded nano-marking
technology on diamond tables and antibacterial nano-coating technology on CTF's
gold jewellery and has obtained a number of R&D patents. During the R&D
process for this technology, MD discovered that NanoDiamonds-coating technology
is bacteriostatic with the ability to block off and suppress the growth of
bacteria and viruses. The company is exploring ways to apply this specific technology
to the non-woven material of surgical masks, which may be used to produce high-performance,
breathable and waterproof antibacterial and antiviral masks that can block off,
suppress and even kill bacteria and viruses.
Preliminary results from this R&D project are expected in four months.
MD has previously worked with a local
university to apply NanoDiamonds technology to healthcare solutions such as
cancer diagnosis and successfully helped doctors to identify the location of
early-stage tumors.

Daily Production of 200,000 Masks for Low-income Families

NWD has also ordered two automated mask production machines and
sourced raw materials to make adults and children-sized masks. A factory with
cleanrooms to make surgical masks at ASTM-Level 1 and above will be set up. Each
production line can make up to 100,000 masks daily, starting April 2020. The
masks produced are for community-based distribution through non-profit organisations
to low-income families.

NWD has established a professional team to cover engineering,
planning and construction, factory operation and R&D, including a team from
Hip Hing Construction under NWS Holdings, which was responsible for the
construction of cleanrooms at Gleneagles Hospital.

In the long run and when the epidemic eases, the production
lines will be used to meet internal operational needs of the Group.
Additionally, some masks will be sold to individuals in need and non-profit
organisations at a low price.

Over 1 Million Surgical Masks and Protective Kits Already
Donated to Low-income Families

Last month, the Group's charitable foundation donated HK$10
million to establish a "community anti-epidemic fund". To date, over 1 million
masks and over 10,000 preventative kits containing surgical masks, hand sanitiser
gels and sanitising wipes were distributed to low-income families through
non-profit organisations in Hong Kong.